Do Americans Trust Alexa to Handle Their Money?

Do Americans Trust Alexa to Handle Their Money?

March 29, 2018         Written By Bill Hardekopf

Virtual assistants have become part of the modern culture. A multitude of tasks can be completed hands-free with a simple, “Hey Alexa.” But how do Americans view virtual assistants when it comes to handling their money? Are Alexa, Bixby and Siri trustworthy for financial transactions?

According to a new study from TSYS, 26% of adults own a voice-activated speaker, such as the Amazon Echo or Google Home. That percentage varies by age group, with 41% of 25-34 year olds saying they own one, compared to 17% of those 55 and older.

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Among consumers who own a voice-activated speaker, 83% use it to get answers to questions. 80% use it for entertainment, and 77% to gather news. Only 47% of speaker owners use their devices to buy items online.

Part of the reluctance may be due to lack of adoption. Voice-activated speakers are still somewhat in their infancy, so Americans are not used to using them for financial transactions. 72% of respondents said they use their phones to view debit and credit card transactions, and 58% said they are willing to store all of their rewards cards on their phones. Wearables, like speakers, are also less popular—only 33% of respondents said they have used a smartwatch to make a payment.

Another concern Americans have with voice-activated speakers is a lack of security. With a smartphone, you can create locks based on fingerprints, eye scans and passcodes. Speakers rely mostly on voice recognition for their security protocols. Just 34% of respondents trust voice recognition for security, a slight decrease from 38% in 2016. Passcodes are the most trusted form of security at 69%, with fingerprints following closely at 63%.

The information contained within this article was accurate as of March 29, 2018. For up-to-date information on any of the terms, cards or offers mentioned above, visit the issuer's website. Many of the offers on this article are from our affiliate partners, and LowCards.com may be compensated if you take action with any of our affiliate partners.

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About Bill Hardekopf

Bill Hardekopf is the CEO of LowCards.com and covers the credit card industry from all perspectives. Bill has been involved with personal finance for over 15 years. He is a frequent contributor to Forbes, The Street and The Christian Science Monitor.